Ezion resets conversion price for convertible bond, perpetual security to S$0.28 from S$0.25
EZION Holdings has reset the conversion price of its Series B convertible bonds due 2023, and its Amended Series 008 subordinated perpetual securites to a minimum conversion price of S$0.2763 from S$0.2487 previously.
As at June 13, 2018, 64.4 per cent, or S$214.6 million of its Series B convertible bonds, as well as 82.6 per cent, or S$98.8 million of its Amended Series 008 Securities have been converted, the liftboat and offshore assets operator said in an exchange filing on Wednesday. These were converted to ordinary shares at a discounted price of S$0.2487.
Assuming that these transactions were completed on March 31, 2018, the company's net asset value following the conversion stands at US$453.4 million, up from US$250.8 million before the conversion. This translates to a net asset value per share of 16.3 Singapore cents, from 15.8 Singapore cents previously.
The new minimum conversion price of S$0.2763 will be applicable from June 13 to Oct 12, Ezion said.
Thereafter, the conversion price will be reset every six months, based on S$0.2763, or the firm's volume weighted average price in the past six months, whichever is higher.
In addition, the number of bonus warrants to be issued free to securityholders upon conversion of the Series B convertible bonds and the Amended Series 008 Securities have been reduced by half to 25,000 warrants with respect to S$50,000 in principal amount of its Series B convertible bonds or Amended Series 008 Securities, as well as S$50,000 each in principal amount in excess of those bonds or securities converted.
The issuance of these bonus warrants will be applicable from June 13 to Oct 12, after which the bonus warrants will not be issued upon conversion, Ezion said.
As at June 12, the outstanding debt from Ezion's non-convertible bonds stands at S$122.5 million, while the principal amount outsanding from its convertible bond and perpetual security stands at S$141.9 million.
The counter last traded down 9 per cent to 9.1 Singapore cents apiece on Tuesday.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Companies & Markets
BlackRock, Citadel reap billion-dollar deals from Australia fund
Credit Suisse faces 50 billion won South Korea short-sale fine
Nvidia supplier SK Hynix says HBM chips almost sold out for 2025
Jim Beam owner bets on canned vodka cocktails to double revenue
Hot stock: Nio climbs about 19.8% on stronger vehicle delivery performance
Cutting the cord?: Events leading up to Cordlife’s MOH suspension and arrests of its directors, ex-group CEO